Recent Articles

The Treasury Laws Amendment (2017 Enterprise Incentives No. 2) Act 2017 has introduced some changes concerning insolvent companies and their directors, which suggest the need for additional caution when contracting with companies and the need to review existing contracts.

Recent changes to the laws relating to how documents must be served and when they are taken to have been served, indicate that owners corporations and their strata committees and strata managing agents need to urgently review their records relating to current activity, to ensure that where notices are required, they have given sufficient notice.

With the commencement of Part 10 of the Strata Schemes Development Act 2015 on 30 November 2016, the NSW Government introduced a reform which is aimed to deal ‘proactively with the issue of ageing strata schemes and enables strata owners to make collaborative decisions about their strata building…’[i]

Owners Corporations have a variety of options to generate revenue from their common property. A question which frequently arises is whether schemes can sell or lease their visitor car parking spaces on the common property to lot owners or third parties.

Answer: Typical issues that arise from lot owners who are considered “hoarders” are bad odours emanating from their lot and also issues with cockroaches, rats and mice which arise as a result of the lot being full of the “possessions” of the lot owner. Such lot owners tend to compulsively collect all manner of items and do not dispose of anything. Because there are so many items in their lots this can create fire hazards and make it difficult for firefighters to deal with the fire.

The commencement of the Strata Schemes Management Act 2015 (“SSMA”) on 30 November 2016 changed the rules concerning strata by-laws. In particular, Section 139(1) provides that a by-law must not be “harsh, unconscionable or oppressive” and Section 150 gives the NSW Civil & Administrative Tribunal (“NCAT”) power to make orders invalidating such a by-law on application by “a person entitled to vote on a motion making a by-law”.

The NSW Government has passed the Fair Trading Amendment (Short-term Rental Accommodation) Act 2018 (“Act”), which is expected to commence in 2019 and which implements a new approach to short term lettings, including those negotiated through Airbnb, Stayz and similar online services. Some aspects of the new laws are not yet clear, as the regulations and code of conduct contemplated by the Act have not yet been released and as associated changes to planning laws have not yet been made. However, this much is already clear: